-seltzer on facebook. ♪ >> we thought we'd bring you some good news this week. theinternationalenergyagencyreported monday that the the u.s. is likely to surpass saudi arabia as the world's largest oil producer as early as 20/20 and predicts that the u.s. will increase production to 11.1 million barrels a day by 2020, up to about 6.9 million barrels in 2008. that is if the obama administration allows it. so, steve, you've been out to the shale in north dakota where it's coming from, and fracking so-called, and drilling and private risk taking. what does it mean for the u.s. energy markets? >> well, this is such a great, great pro american stir and by the way, paul, it's not just oil, it's also natural gas. >> paul: right, sure. >> my goodness we have more natural gas than the rest of the world combined and it's driven by the technological improvements and a five or ten year technological lead than the countries we're competing with. it's interesting, paul, if you look the at the last three or four years, now what industry has created more than any other industry in the united states. >> pa

, and fracking so-called, and drilling and private risk taking. what does it mean for theu.s.energymarkets?>> well, this is such a great, great pro american stir and by the way, paul, it's not just oil, it's also natural gas. >> paul: right, sure. >> my goodness we have more natural gas than the rest of the world combined and it's driven by the technological improvements and a five or ten year technological lead than the countries we're competing with. it's interesting, paul, if you look the at the last three or four years, now what industry has created more than any other industry in the united states. >> paul: the electric car industry, steve? (laughter) >> no, not that one. oil and gas and the thing that's so amazing, the president is doing almost everything he can to try to hold this back with regulations and with not allowi allowing permitting most of the oil and gas development is going out on private land and where the president has to get with the program because we could literally create millions more jobs if we get this story right. >> paul: jim, the consequences here economica

violence of course. we have great guests on the show, including public citizenenergydirectorand edward isaac dovere. but i guess the real important story is that mc hammer came out and sang [ inaudible ] at the american music festival. >> is that what happened? >> john: yes. >> i can't wait to tell my grandchildren that this one-hit wonder cy went on with mc hammer. >> john: yes, cy came -- >> deep it going dan. ♪ >> john: cy came out and lip sinked. he is playing the studio version, and then mc hammer comes out and [ inaudible ] his third biggest hit -- >> this sounds like a train wreck. >> john: if you listen very very closely to this you can hear the founding fathers weep. and we'll be talking about david petraeus. because there is now a backlash of people saying why should he have to resign? the obvious answer is because he is the biggest spy in america and spies get fired for less. but what do you think? if america needs him running the cia, if he can do for america what he did for afghanistan, why would you want him leaving? >> yeah. >> john: please feel free

on foreign oil. andonenergyandall of those things will help. but the key issue here is how do we make our labor internationally competitive? to do that you have to come up with new ideas, new tax cuts, incentives for industry and things like that. that will take some work from congress. and, you know, i feel like that is what they need to do. and it is the same old project, the same old system, it does not fit for today. is that simple. host: nancy cook. caller: that is a fascinating point. we have had these bush era tax cuts are almost over a decade now. the tricky thing about the tax code is at once you introduce changes to it, it is really hard to change them back and temporary tax cuts often become more permanent ones, and the caller raises a great point about thinking about, what should the tax code will look like rather than all of these temporary things adding up -- adding both parties are concerned. -- i think both parties are concerned. both parties say there would like to bring down the corporate tax rate to 28%. and the republicans want to do something or it would create a diff

tax reform. we couldhaveenergylegislation.we haven't even had a defense bill or appropriations bill or cybersecurity. joe lieberman is still trying to get the cybersecurity bill which is really important for this country. really dangerous. but the president, he is our leader. he needs to engage more. we got somebody here in the room that can talk to him. i'm incurable optimist. i think he may do it. >> well, i think it's got to start in this lame-duck session that begins tomorrow. we can't adopt a total bipartisan balanceed budget agreement but we can get -- balanced budget agreement but we can get started. we can have a down payment at least to cover the first year of what otherwise would be the sequester which is $110 billion, and i think we got to prove we can do some tax reform and we can do some entitlement reform and pull it together. and then adopt a process that tries again to push the committees -- according to the regular order -- to come out with enough savings and spending, enough new revenue as part of tax reform and most critically long-term entitlement reform. t

is the first photo from it. blackelkenergyconfirmsthat one of its platforms caught fire. the fire, we understand, from a coast guard captain we spoke to, it is apparently out. you might remember in the deep water horizon fire the that led to the bp oil spill. i burned for a couple of days until the rig melted and collapse and then the wheels started spewing into the gulf. this does not appear to be as serious of a situation. however there is word that there are workers that are missing at this point. we are told that the fire is out. a couple of crew members in the gulf are missing. jenna: right now, a suspected operative of hezbollah has not been a allowed to walk free. he was accused of killing five american soldiers in iraq. he was acquitted by an iraqi court and allowed today to fly to lebanon. here is the important background. the united states handed this man over to the iraqis last december, earlier this year we have received assurances that they would not release this man, even though the iraqi court had cleared him of the charges, but as we stated, he is now free today. jon:

would achieve some ofhisenergygoalsimply not possible. you can't do it in a short time frame. so i think there are practical questions to that. but i don't think there's a principal objection to it if you somehow combined it with the existing system that in a way that reserved the distribution of the tax burden. he doesn't want to go backward on progressivity. and i think if you can meet those tests, that's part of help saying he's open to it. they've always been skeptical that you can did all these things. spi entitlement reform, deficit reduction and tax reform in anything close to the same time frame. >> all right, john, thank you. one more thing -- becky, i'm afraid to tell you this. fi phil lebeau, he knows everything about -- the last major -- >> i saw that. >> last major airline crash in the u.s. with fatalities was the one which was right after 9/11. >> horrific. >> in new york and right after 9/11. november of 2001. >> there was a 60 minutes piece on that neighborhood because that neighborhood just got swamped again. belle harbor i believe is the name. it just got swamped